Which Addresses to Choose for Accepting Crypto Payments: Static or Dynamic?

If your business operates on a subscription or deposit-based payment model — like casinos, gambling, iGaming, Forex, and others — it’s crucial to consider the type of addresses your crypto payment gateway provides. This article explains why static addresses are important and how they differ from the default dynamic addresses.

Static vs. Dynamic Addresses: What’s the Difference?

When using a crypto payment gateway, a customer is provided with an address to transfer his crypto to complete a transaction. Typically, these addresses are dynamic: the system randomly assigns one of the available addresses for the transaction, which can then be reassigned to another customer once the transaction is complete. This makes the dynamic address essentially single-use for the customer.

Conversely, a static address is issued to a customer for permanent use, allowing them to deposit funds anytime without needing an invoice. Think of it as a home address that doesn’t change and is always accessible.

Advantages and Disadvantages of Each Address Type for Crypto Payments

• Network Fees for Withdrawal

Dynamic Addresses: Since fees are paid from each address, the total withdrawal fees for dynamic addresses are significantly lower than those for static addresses. For instance, if you have 30 clients, dynamic addresses might only require a few addresses (depending on transaction density), resulting in fewer fees.

Static Addresses: Each client has a unique address, leading to higher withdrawal fees as you need to pay fees for each address separately.

• Security

Dynamic Addresses: It’s harder to track your activity and the wallet receiving the funds because hundreds of transactions occur daily at each dynamic address.

Static Addresses: Since static addresses are permanent, it’s easier to trace who sends you funds and where you withdraw them to on the blockchain.

• Error Probability

Dynamic Addresses: Errors can occur when a client sends funds to an address that is now being used for another transaction by a different client, leading to unrecognized transactions.

Static Addresses: These issues are avoided as each client has their permanent address.

• Convenience

Dynamic Addresses: Payments can only be made after an invoice is issued, which usually isn’t a problem.

Static Addresses: Clients can deposit crypto at any time, as they always have access to their personal address.

Which Address Should You Choose?

Different address types are suitable for different scenarios. Static addresses are better for regular clients who make frequent deposits and payments, such as in online casinos or trading platforms. For industries like E-commerce or travel, where clients pay once or rarely, dynamic addresses are more cost-effective due to lower fees.

Accept Crypto Payments with BucksBus

With BucksBus, you can choose between static and dynamic addresses. You decide which type to use and when. Adjust the settings to your preference and explore the world of crypto payments with BucksBus. Sign up on the website and get your first month is free!